Advocacy in Action | September 18, 2025
Occupations That Quality for OBBB "No Tax on Tips" Provision
The US Treasury Department has released the full list of occupations that qualify for the “no tax on tips” provision included in President Trump’s One Big Beautiful Bill Act. The law allows workers in eligible roles to deduct up to $25,000 in qualified cash tips from their federal taxable income beginning in 2025.
For the hospitality industry, the list is broad and includes many front-line restaurant and lodging positions:
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Food & Beverage Service: bartenders, wait staff, hosts, food servers (non-restaurant), cafeteria attendants, bartender helpers, chefs, cooks, food preparation workers, counter workers, dishwashers, bakers.
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Hospitality and Guest Services: baggage porters and bellhops, concierges, hotel/motel/resort desk clerks, and housekeeping staff.
Employers will need to prepare for new payroll reporting requirements when the provisions take effect in the 2025 tax year. The deductions are scheduled to expire after 2028.
Connecticut Municipal Primaries
On September 9, 2025, Connecticut held its municipal primaries following an early voting period from September 2nd to 7th. To participate, voters were required to be registered members of a political party, with unaffiliated voters having until September 8 at noon to switch their registration.
The 2025 municipal primaries engaged voters across 21 towns and cities and determined key party nominations for local offices.
- In Hamden, Adam Sendroff won the Democratic mayoral primary, securing his place on the November ballot.
- In Norwalk, Barbara Smyth narrowly defeated Darlene Young in a closely contested Democratic mayoral primary.
- In Stratford, David Chess prevailed over Linda Manos to become the Democratic nominee for mayor.
- On the Republican side, George Temple won the Oxford first selectman primary over a Republican Town Committee-endorsed challenger.
- Paul D’Angelo defeated James Paolino in Wolcott’s Republican mayoral primary.
Future key dates to remember are October 20th to November 2nd where early voting takes place for the 2025 general election and Election Day occuring Tuesday, November 4th.
Latest on Tariffs
European Union:
On August 21, 2025, the U.S. and EU announced a Framework Agreement aimed at fairer, more balanced trade. The deal eliminates EU tariffs on U.S. industrial goods, expands agricultural and seafood access, and commits the U.S. to apply MFN or up to a 15% reciprocal tariff on EU goods. Tariffs on autos remain capped, with reductions tied to future EU legislative actions, and the EU has suspended retaliatory tariffs on U.S. wine and spirits through February 2026.
Specific Goods Exemptions:
On September 5, 2025, President Trump signed an executive order, which establishes a framework for potentially exempting specific goods from tariffs.
These exemptions apply only to products sourced from countries that have signed formal trade agreements with the U.S. and are limited to two categories:
- Agricultural products not grown or produced in sufficient quantity domestically
- Unavailable natural resources
Some examples of food & agricultural products eligible for exemption: coffee, cocoa, bananas, avocados, mangoes, papayas, kiwis, pineapples, guava, cooking oils (palm, coconut, sunflower), tea (green, black, mate), spices (cinnamon, cardamom, turmeric, cloves, nutmeg, pepper), oats and tropical grains. Some seafood (albacore or long finned tunas, excluding fillets), (yellowfin tunas, fresh or chilled, excluding fillets), and frozen tuna fillets.
The executive order outlines a framework for possible tariff relief, but it’s not guaranteed. If you import any of the products in the Executive Order from a qualifying country, you may now or in the future be eligible for zero tariffs. Please check with your supply chain partners.
National Restaurant Association Supports Joint Employer Definition Codified by the American Franchise Act
The decade-long fight over the definition of a “joint employer” is one step closer to an end, following the introduction of the American Franchise Act in the U.S. House of Representatives.
Congress introduced the bipartisan American Franchise Act to settle ongoing disputes over the definition of “joint employer.” The bill clarifies that franchisors would only be considered joint employers if they directly share or control key employment terms such as wages, hours, or benefits. By restoring the “direct and immediate control” standard, the Act pushes back against broader interpretations that made franchisors liable for indirect or reserved control.
The National Restaurant Association supports the move to codify a “direct and immediate” joint employer standard that would provide clear and stable guidance for franchised restaurants while protecting the integrity of the franchise business model.
Department of Labor Relaunches Payroll Audit Independent Determination (PAID) Program
The Department of Labor has relaunched the Payroll Audit Independent Determination (PAID) program, which allows employers to voluntarily selfâaudit their compliance with key labor laws like the Fair Labor Standards Act (FLSA) and the Family and Medical Leave Act (FMLA).
Employers must meet eligibility criteria (no recent violations, not involved in active litigation over pay practices) to participate.
Participation involves:
- Reviewing past pay and leave records.
- Completing a compliance checklist.
- Working with the local Wage and Hour Division to correct any violations by paying unpaid wages.
The goal is to help businesses proactively fix mistakes, avoid penalties, and build trust with employees and with their community.